Driving in Nicaragua

You may be surprised to know that the major highways are in the best shape since we first visited in 2001. Many of the beaches and other locations can only be accessed by dirt road, rocky roads or by 4WD vehicles. You can get by with a regular car if you stick to the highways but be aware that they love speed bumps here and some of them are quite high. If bringing a vehicle we would suggest at least a vehicle with high clearance and a 4WD SUV or truck is the most popular with the expats.

Cars and trucks are very expensive here often being 30-40% higher than the same model in the states. The good news is that your used car retains a high value but the bad news is you can not bring in a vehicle older than 10 years.Toyotas are the most popular and easiest to get parts for but KIAs, Hyandai, Suzuki, Jeeps, Mercedes and Chinese models are common. The majority of the heavier duty vehicles are diesel since it is about 10% cheaper than gas. Gas stations are quite common though not as numerous as in the states. At this time, gas is over $5.00 a gallon (May 2014). Motorcycles and scooters are very popular due to their practicality.

Buying a Vehicle or Motorcycle

As a resident you can purchase a vehicle or motorcycle in Nicaragua then register it to get license plates when they have license plates. If you do not have residency, you can purchase a vehicle or motorcycle but you cannot register it making the purchase rather worthless. I know, I know - why would they sell you something you cannot use? The most common fix is to transfer the ownership to a trusted Nica or expat with residency, both scenarios are rather risky since you do not own the vehicle. After that person gets the vehicle registered with plates, some lawyers can get it transferred back to you. This cannot be recommended since you are circumventing the law.

As a resident you can purchase a vehicle or motorcycle in Nicaragua then register it to get license plates when they have license plates. If you have not become a resident you can easily purchase a vehicle but the seller will not tell you that you probably cannot register it and receive the license plates. This is one of those rule changes that occurred in the last couple years.

I know, I know - why would they sell you something you cannot use? The most common fix is to transfer the ownership to a trusted Nica or expat with residency, both scenarios are rather risky since you do not own the vehicle so there is risk. After that person gets the vehicle registered with plates, some lawyers can get it transferred back to you. This cannot be recommended since you are circumventing the law. Better to wait until you have residency. Check with a lawyer.

Some Other Opinions

A couple people responded that for a used vehicle it was a common practice to continue driving under the old registration just as long as you always have the documents including the bill of sale. Also, that it was perfectly legal to sell a used or new vehicle to a Nica or resident, get it registered than transfer it back through another "sale". Yup, I could find a lawyer that agrees with me on my interpretation or agrees with the contrasting opinion.

I respect their opinions but disagree. I do not recommend a non-resident purchasing a new or used vehicle for several reasons:

1. The purpose of registration is to show ownership of a vehicle. If someone looks up the license plate I doubt they will go to the records to see the various sales of the vehicle. Record keeping in this country is not state of the art.

2. If there have been several "sales" of the vehicle then you would need to have all previous "sales records" to tie your sale back to the person's name appearing on the registration.

3. There is liability risk for the owner's name appearing on the registration especially if there is a serious accident and the various documents cannot be found.

4. It is recent legislation that prevents a non-resident from registering a vehicle. I think we can expect that eventually non-residents will not be able to purchase a vehicle as a likely progression.

5. I have no problem with tourists (who may be here legally) not having all of the rights of a resident (who has had their records checked). I know, I know, non-residents may buy property or start a business but vehicles are more likely to have accidents or hurt people than homes and businesses.

6. Doing a temporary sale to another person for the sole purpose of getting it registered is circumventing the law otherwise you would not be doing it that way.

I freely admit there are lawyers and police that will disagree with my opinions but there are many others that would agree. I'm simply saying it is recommended that you become a resident before purchasing a vehicle. It just makes it easier.

Use Common SenseWe have had no issues in driving in Nicaragua though we avoid driving at night in the country if at all possible. The oxcarts don't have brake lights and there are wandering livestock. You need to use caution in driving since either few turn signals are functional or the drivers just don't use them. The hand signals of the Nica drivers have no semblance of meaning. What you would take as a friendly wave may mean the driver is turning left.The Nicas are wonderful mechanics. Once, while traveling to the shore, our 4WD axle disintegrated and it was fixed by a local using only a screwdriver and a wrench. In Managua and the larger cities, there are Firestones and dealerships having modern diagnostic equipment. Regulations governing transit are administered by the National Police’s Central Transit Bureau. For specific information concerning Nicaraguan driver’s licenses, vehicle inspection, road tax and mandatory insurance, please refer to the National Police web site at http://www.policia.gob.ni. The general rule is that your driver’s license from your originating country is good until it expires and most expatriates here do not get a Nicaraguan driver’s license. Of course, your driver’s license must be valid and unexpired. We have driven on our North Carolina license since 2006 and have had no problems for it being accepted, yet. This is all being mentioned because when the police pull you over, they will first ask for your license, insurance card and owner registration and if they issue a ticket, they will keep your license which you get back when you pay the fine. Unfortunately, you may have to go to Managua or wherever your papers state the vehicle is registered. This is why many people will ask the police if they can pay the fine (or some amount) directly to the policeman to avoid the hassle. The policeman makes some money and you get your license back. The police are getting more respectable so this does not work as well as it used to. Six years ago we would be stopped often by the police while now it is relatively rare and often, for good cause. If they take your license you can drive on the ticket until the date the fine is due (30 days).Expatriates have tried many tricks to avoid losing their license. Some apply for the international drivers license and use it but not sure the police always accept that ploy. Someone advised us to make copies of our license then get it laminated but the first time I tried that, the police called it garbage and threw it away then requested my real license and it was a very good copy. My favorite ploy I’ve seen used successfully is the “crazy gringo” routine. A friend would just lay his head on the steering wheel and act like an idiot till the police gave up and walked away. I wouldn’t try that one!Another friend would just ignore the police trying to wave him over. His theory was that few police have vehicles, motorcycles or radios so there was not much they could do. This theory was eventually disproved by the police jumping into a taxi and telling the taxi driver to follow that car! He was chased all over Managua and eventually caught. He received not only a hefty fine but also had to pay the taxi fare including the return to the original scene.One reason few people get a Nicaraguan driver’s license is that the written test is in Spanish. Even if you are relatively fluent in Spanish, this could prove to be difficult. A few friends have paid a neighbor to take the test for them.Every district in Nicaragua has a local transit bureau office (sometimes co-located at the police station) for issuing driver’s licenses and license plates. If you are in the Managua area, you may consider processing your initial papers at the SERVIGOB (“Government Services”) building where the majority of public services are housed. Payments and exams are conducted relatively quickly. SERVIGOB also provides notary services for legal documents. Address of SERVIGOB: de la rotonda de Plaza Inter, 1 ½ C. al norte, mano derecha (close to the Vice Presidencial offices in Managua).Citizens of other countries who are Nicaraguan citizens are required to have a Nicaraguan driver’s license.General steps for a new driver’s license:

Copy of your passport or Nicaraguan Resident Card (cedula).

Must be 21 years old.

Certificate of approval of the theoretical and practical exams given by the Transit Police Station Office and/or any Center authorized by them.

Certificate of examinations of the vision and the blood type, with the recent date, both emitted by the Nicaraguan Red Cross.

License Insurance policy.

BANPRO (Bank of Production) deposit's slip of payment of C$120.00 cordobas in account number 100-10000025581-5. This is the account of the National Police and there should be deposit slips for this at the counter of the bank.

Present current driver's license still good for driving for at least a year before expiration.

Present certification from your embassy of the type of license that you own and the type of vehicle that you can drive with it.*

* Unfortunately, the US Embassy in Nicaragua cannot provide this certification of the type of license that you own. The Nicaraguan Police Department has been known to accept a sworn statement notarized by a consular official, where the license's owner states the types of vehicles he/she can drive. You can prepare this statement before you come to the embassy office, but you must sign in front of the consular officer.

Note that Nicaraguan driver’s licenses feature a photo, blood type, name, identification number and emergency contact information, but not a date of birth. A driver’s license is not accepted as an official identification document in Nicaragua. Only passports and cédulas serve this function.Vehicle PermitsNicaraguan law allows tourists to enter the country with their vehicles on the assumption that they will take their vehicles with them when they go. You only have 30 days before it is illegal. One important note is that Nicaraguan customs does not permit the import of vehicles which are ten years old or older. If you bring a vehicle to Nicaragua under the retirement plan your vehicle can not be more than 10 years old. For additional information please contact Nicaraguan Customs.Like the states, there are annual vehicle requirements such as:

Vehicle inspection

Vehicle emissions test

Minimum insurance - I think mine was around $80 for the year for vehicle and motorcycle.

City sticker from alcadia (city hall)

This applies to motorcycles also but not enforced very much.Vehicle InsuranceAll vehicles must have local third-party liability insurance. This is available through several local companies for between $60 and $80 per year for the minimal amount of coverage. You can buy this insurance annually at most banks. This year (2014) insurance cost was lowered to $56 a year and motorcycles to $30 a year. An insurance card is issued which you must present when requested by the police. Many U.S. citizens take out more comprehensive insurance from U.S. firms for additional protection and there are companies here that will sell you more comprehensive insurance but the cost approaches that of in the states.